Many people who have "experienced" MARKET will describe market like how the blind people feel and elephant.
My experience with market about 38 years ( + , - ) has been bitter, sweet and sour. But most of all I learnt from my journey without any regrets. Each day I want and strive to be better.
Market itself is NEUTRAL, impartial, don't discriminate and has no affinity for anyone or color. The direction of the market is dependent on who has the ultimate upper hand to move the price trend direction.
Market as describe by many who has been bitten as unforgiving. But market also allows us to redeem our failures also means we need to reflect all our moves, admit our mistakes, learn, seek knowledge to improve, persevere, patience and mentally prepared to face the challenge.
Market has no place for anyone who are NOT willing to "invest" in learning, learning and learning.
Market is NOT the place who anyone who do not have the patient to wait for a good low risk and high reward set up.
Market is the wrong place for people who do not treat this as a BUSINESS.
Consider I have walk a full complete circle with about 38 years with the market. I have no regret and if I were do it all over again, I am more "experienced", mentally and emotionally prepared for the market.
I spend hours, days, weeks, months and years to learn about market and myself.
1.Human by nature are impatient and this is the No1 trait to trip and fall.
2.Stop Loss or Trailing Stops. Any simple proper and reliable system, theoretically the system should yield a decent good risk reward ratio in favor of reward. Which bring us to the next question about implement STOP loss to a reliable system? Does it makes sense? The theory is a good reliable system should be allowed to operate accordingly and it should yield good results with PROTECTIVE TRAILING STOPS to exit the positions and to protect profits.
As a Trend believer and practitioner, I have been using stop orders to enter positions and protective trailing stops to exit my positions when I read the chart indicators are displaying set ups patterns that warrant my attention.
The other order that I use often is the OCO (one cancel the other) order at 2 different levels placed at the same time. This order means if I have key in order 1 at A and order 2 at B, when either one is HIT, the other automatically cancels.
Not all platform has the OCO functions.
I am in favor of using price trend following in conjunction with 1 or 2 simple indicators to monitor the trend velocity (intensity).
If one takes the effort and observe closely the relationship between the price trend behavior and indicators changes, there are certain repeated patterns that correspond to every up and down cycle (NOT SIDEWAY).
OBSERVATIONS - OBSERVATIONS - OBSERVATIONS.
No comments:
Post a Comment